Sherwood v. Walker

33 N.W. 919 · Michigan Supreme Court · 1887

Facts

Plaintiff Sherwood contracted to buy a cow, "Rose 2d of Aberlone," from defendants Hiram Walker & Sons for 5.5 cents per pound, both parties believing the cow was barren. Before delivery, defendants discovered the cow was pregnant and refused to deliver, leading Sherwood to sue for replevin. The lower court ruled for the plaintiff, finding the cow's condition immaterial.

Issue

Can a contract for the sale of an animal be rescinded due to a mutual mistake regarding a fundamental quality (barrenness vs. breeding capability) that goes to the substance of the agreement, even if the identity of the animal is correct?

Holding

Yes. The court held that the mutual mistake regarding the cow's barrenness was a mistake as to the substance of the thing bargained for, not merely a quality, thus voiding the contract. The lower court's judgment for the plaintiff was reversed, and a new trial was granted.

Rule

A contract may be avoided if there is a mutual mistake concerning a material fact that goes to the substance of the subject matter of the sale, making the thing bargained for substantially different from what was intended by the parties.

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